Earlier this month the United States Supreme Court decided to hear three cases which will resolve the split between various Courts of Appeals (discussed in our prior post here) as to whether individual arbitration agreements barring class arbitration actions in employment-related matters are enforceable. While the Court held in 2011 that the Federal Arbitration Act would allow companies to avoid consumer class actions by insisting upon individual arbitrations in their contracts, AT&T Mobility v. Concepcion, workers have contended that employment contracts are different. They have successfully argued that the National Labor Relations Act prohibits class waivers since it would impinge upon worker’s rights to engage in “concerted activities”. The Seventh Circuit Court of Appeals accepted such an argument in Epic Systems Corp. v. Lewis (discussed in our prior post here), and the Ninth Circuit accepted such an argument in Ernst and Young v. Morris. The Fifth Circuit Court of Appeals rejected the same argument in National Labor Relations Board v. Murphy Oil U.S.A.
Continue Reading Mandatory Employee Arbitration Split To Be Heard By Supreme Court
National Labor Relations Board
Why Can’t We All Play Nice? Obama’s Recess Appointments Struck Down
On January 25, 2013, the D.C. Circuit Court invalidated President Obama’s three appointments to the National Labor Relations Board. The decision in Canning v. NLRB not only calls into question the “recess appointment” power of the President, but could paralyze the NLRB by putting hundreds of decisions in jeopardy.
All Good Things Must Come to an End
It’s a myth that Twinkies last forever. And just as these childhood staples will expire, it appears that the iconic brand behind them has also finished its run. Hostess filed for its second bankruptcy in January and has since been trying to come out from under a mountain of debt. These efforts came in…
New NLRB Ruling Leaves Many Questions Unanswered for Non-Union Employers
On September 28, 2012, the National Labor Relations Board (“NLRB”) issued its decision in Karl Knauz Motors, Inc., 358 NLRB No. 164 (2012). The NLRB affirmed an Administrative Law Judge’s findings that a car dealership did not violate the National Labor Relations Act (“Act”) after it terminated a salesperson for his posts on Facebook. …
NLRB Activity Heats Up This Summer
The acting general counsel for the National Labor Relations Board (NLRB), Lafe Solomon, has addressed a number of workplace topics, including social media policies, at-will employment statements and class action waivers in arbitration agreements. In addition, a new NLRB webpage describes the rights of employees, even if they are not in a union. Both of…
Federal Judge Voids New NLRB Union Election Rules
On May 14, 2012, a U.S. District Court issued a decision that effectively voids the National Labor Relations Board’s (NLRB) new election rules that went into affect on April 30, 2012. Judge James Boasberg of the District Court for the District of Columbia granted a motion for summary judgment filed by the U.S. Chamber of…